REPORTING SEASON: Rio Tinto (RIO)

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Figure 1: Rio Tinto 12 month chart

 

Australia’s second largest miner, Rio Tinto (RIO) delivered a 17.9% fall in its half year (Jan-June) underlying profit to US$4.2 billion.

The result (out after the market close on Thursday) was in-line with consensus but held back partly by weaker iron ore prices.

Iron ore accounted for close to 90% of RIO’s earnings, so a 15% fall in the value of the commodity since hitting a high in February does impact its bottom line.

An AU$0.93 per share dividend was announced, payable to eligible shareholders on 12 September.

In mid-July, RIO had already reiterated its production guidance for both iron ore and copper (two of its most important exports) for 2013.

 

You can see all of CommSec’s reporting season analysis by clicking here.

Steven Daghlian, Market Analyst,